Laying yet another stumbling block on the bumpy road to Mideast peace, leading Palestinian negotiator Saeb Erekat resigned his post on the eve of talks with the Israeli government, a Palestinian official said Friday. Erekat tendered his resignation Thursday after new Palestinian Prime Minister Mahmoud Abbas excluded him from a team of aides scheduled to meet tonight with Israeli Prime Minister Ariel Sharon.

Palestinian Authority President Yasser Arafat accepted an agreement with Israel clearing the way for opening a "safe passage" route for Palestinians between the West Bank and Gaza Strip, chief Palestinian negotiator Saeb Erekat said. "The safe passage agreement will be signed [today]," Erekat said. Prime Minister Ehud Barak approved the terms earlier. Officials said they expected the route to open this week. The Gaza Strip and West Bank are about 24 miles apart and separated by Israeli land.

Israeli and Palestinian negotiators resumed talks after a short-lived suspension by Israeli Prime Minister Ehud Barak that the Palestinians said called into question his commitment to peace. Barak's office in Jerusalem said in a terse statement that Israeli senior negotiator Gilead Sher and his Palestinian counterpart, Saeb Erekat, had a "business-like" meeting. Erekat said later that the Palestinians wanted "real talks" to resume but only with U.S. mediation.

At the request of the Clinton administration, House Speaker Newt Gingrich will not visit the site of the new U.S. Embassy in Jerusalem after controversy erupted about that planned stop during his trip, a spokesman said. The Jerusalem Post reported that Palestinian peace negotiator Saeb Erekat said Gingrich was "playing with fire" and could trigger bloodshed by meddling in the dispute over Jerusalem during his visit. Gingrich is to arrive in Israel today.

Talks with Israel can resume on minor disputes but not on the crucial issue of Israel withdrawing from more West Bank land, chief Palestinian negotiator Saeb Erekat said. Palestinian Authority President Yasser Arafat suggested earlier that contacts between the two sides would intensify. Erekat, however, was quick to lower expectations.

Palestinian leaders preparing for a U.S.-sponsored conference with Israel this month have told the United States they will accept nothing less than a total freeze in the construction of Jewish settlements, a top Palestinian official said. Saeb Erekat said he sent a letter to the Bush administration Friday demanding that Israel fully meet its obligations under a long-stalled "road map" peace plan. The plan seeks a freeze on settlements; it also calls on the Palestinians to rein in militants.

Palestinian Authority President Mahmoud Abbas and Israeli Prime Minister Ehud Olmert held their latest summit with no sign of progress, and officials on both sides warned that stalling the talks could endanger prospects for a treaty and foster more violence. Palestinian negotiator Saeb Erekat said Abbas and Olmert reviewed the issues without reaching agreement and set another meeting in two weeks. Erekat said Abbas raised concerns about Israel's blockade of the Gaza Strip and pushed for the release of Palestinian prisoners.

Prime Minister Ariel Sharon says he's sorry Israel didn't have Yasser Arafat killed 20 years ago when it had the Palestinian leader under siege in Beirut. Sharon's musings about the missed opportunity, published in the Maariv newspaper, coincide with speculation that this time, Sharon hopes to finish off his old enemy. "Sharon's words are very dangerous," said Palestinian Cabinet minister Saeb Erekat.

Palestinian negotiators struck a deal with Israel to realize two key symbols of Palestinian sovereignty but warned of deadlock on major issues. Under the agreement, Palestinians will be able to move more freely between the Gaza Strip and the West Bank starting in October, when work on a port in Gaza City will also begin, chief Palestinian negotiator Saeb Erekat said.

Palestinian Authority President Yasser Arafat accepted resignations from most of his Cabinet--nearly a year after they were submitted amid allegations of corruption. Palestinian legislators had threatened Arafat with a no-confidence vote if he didn't accept the resignations and present a new Cabinet. Legislators agreed to give Arafat two weeks to shuffle the Cabinet, Palestinian Minister of Local Government Saeb Erekat said.